Introduction

The compensation issue is a major challenge. If people work 20% fewer hours, they should receive 20% less pay, other things equal. Some people may feel that this is an acceptable price to pay in exchange for greater free time to pursue other activities (such as raising children, pursuing education, or just leisure). Most people probably would see this as an overwhelming psychological and economic burden to accept. Alternatively, if companies were to allow a move to the 32-hour week without reducing weekly wages, then workers would be happy but the companies would face an enormous burden – unless hourly productivity increased so much as to offset the fewer hours worked. So, the challenge is to identify a process ...

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